The narrowing of the price range will mean Funding Circle will still remain one of the UK's leading fintech "unicorns", which means a company valued over $1bn (£760m), despite having never turned a profit. It was valued at above $1bn in its last private funding round.

The company has arranged around £5bn worth of loans since it was founded, and has operations in the US, Germany and the Netherlands.

However, news that it has trimmed expectations for the IPO is likely to raise concerns that investor appetite for new flotations may be waning.

Neil Glover of accounting giant EY told The Sunday Telegraphearlier this year that the IPO market would probably come to a standstill in October, as Brexit talks hit a critical stage.

He said November would be "a real cut-off", given there would be "too many unknowns" on what the relationship between the UK and EU will look like after the March 2019 Brexit date.

There has been volatility in the IPO market for a while, and it was cited as the reason why late last year, both food producer Bakkavor and mobile mast provider Arqiva pulled their initial public offerings, although Bakkavor revived its float a week later.

However, Funding Circle may be in a stronger position than others looking to float, as interest around the financial technology sector has been mounting in recent months and investors have been pouring cash into ventures disrupting the traditional banking sector.

In the first half of 2018, data from FinTech Global found around $41.7bn was invested in the fintech sector globally, compared to $39.4bn a year earlier.